Seattle daily post-intelligencer. [volume] (Seattle, W.T. [Wash.]) 1881-1888, 1887-05-14

De&40ea tDefe 4focstll n Kansas E8cluI
consolidated bonds. $4,000 IN 81
Joseph and PseiHe. eIl6soo in Kansa
and NehraskA and -. 900 in he Dsn
yer and BsuideF VALLEY. boaghf 81
Joseph and Western and Kansas aul
Nebraska tn the open market. I thinl
some Of their beads we're exchanRed ful
consolidated bonds. | suppose thai
Goald ecquired these securities hv pnF
chase as other people do. don't know
what be paid for them. You can And
thss oas very readily by putttng him or
the stand"
Oommisioneg Andersen commenced
20 quote, Saf6cient unto the day,
when Sage interrupted him with Gould
| think. 10 very much ike myself. HG
attends 10 his ovn basiness. I do not
know Way Gould resigned as q Diractar
prior 10 the consolidation. do not
question his motives. an not in the
habit Of guessisR peoples motives. II
be resigned because Of his proposed
dealings IN the matter Of the consoli-
datio1. do not knou it. That might
have been reason
The minates Of the meeting Of the
Directors on that occasion we're read.
Sage remembered that be knew of
the acceptance Of Gould'a resignation
dated on January 10Th. II wrote a let
ter 10 Scion Humphries aad @. n.
Dodge In October, 1879, with references
10 the value OF the property In the West
ments and also with references TO the
propristy Of the consolidation Of The
UnicD Paei6c and the Kansas Pacific.
| think that Mr.. Dillon and Mr.. Ames
signed the letter and possibly jay Gould
signed 10. as be had &l75.00o In the
stock Of the Unien Pacific. and conse-
quently had considerable interest,
though / am sure be was like me. op-
posed to the consolidation. for bic real
interest lay elsewhere. My impression
is thai did not see the answer Of
Msssrs. Humphrey and Dodge until the
consolidation meeting. though 10 is
dated January Is. and addressed to me
with Others"
The examination Of Sage was con.
tinued with reference to the details OF
the consolidation meeting, Of which be
little. When asked IL
Gould did not ask him the day previous
to move the acceptance of his resiQna-
tien. the witness said: "Gould II not
In the habit Of telling me Of bis doing
until Il is done" Concerning
the Kansas Central securities or the
earning capacity Of that road, Sage
knew very little. He had remained q
Director Of the Union Pacific. bat, not
being on the Finance Committee, he did
net examine into the matter carefully.
Sage continued: 81 don't know that
Gould was q creditor on the books Of
the Kansas Pacific at the time Of the
consolidation. At the time Of the con
soiidation my interests In the Kansas
Pacific and Union Pacific we're about
equal. believed then, and believe now,
that had the consolidation bsen with
she Missoari Pacific. IL weuld have
proved more advantageous TO both
roads, and at the time l simply yielded
TO the desires of the directors Of both
roads against my better Judgment. The
UAiOn Pacific entered as q necessary
measure to pFevsat the extension Of the
Chicago. Burlington & Quincy, and it's
creation as a formidable opposition line.
had wished, IN company with OommO-
doFe Garrison, to get possession OF the
Kansas Pacific for the Missouri Pacific,
but without my knowledge Gould Ac-
CURED Commodore Garrison's interest
ia order TO prevent his formidable com
petitor, the Missouri Pacific, from ob-
tanning control Of the Kansas Pacific.
James Il. Ksene, the next witness,
said he was director Of the Uui1n Pa
cifio and with Sage purchased 10000
shares of the Uaion Pacific Of jay
Gould at T8 a short time before be be-
came a director. At the time Of the
be was in NyV York. He
did moi attend anv consolidation meet.
ines, aud had no Union Pacific stock at
that time.
Washington Z. Conner, Jay Gould's
partner, explained ths n.ture Of his
business relations With Gould. He said
be had all the books OF the firms of
Conner, and Washington
E. Oonner Il Co., at his stable. They
we're open to the Commissioners.
The accountant of the Commission
might examine them and make an ab-
stsaet OF Gould's bearings ip the
various Pacific stocks and bends. "Il
would take q short time" be sad IN
answer TO Commissioner Anderson. "as
9euld's dealings we're mainly wish
large amounts OF stock purchased from
siaele holders ARd do not appeal OF the
books Of the ConYAny. | had rss per
8onal interest In the consolidation"
The commission Wiil probably not eX-
anime Jay Gould before Haxs Thsrsday.
O. =. Huntington explained taday 10
lhe commission thai be sailed for
Europe on May 18th and his .eLamina-
lion will be deferred until after nis re-
Iurn, about 9 mUnth hence.
The investigation will b resumed TO-
morrow.